From 6 April the Basic State Pension and Second State Pension (S2P) will end and be combined/replaced by a new State Pension. This means that many staff will now be required to pay a higher amount of National Insurance contributions.
The University released an all staff email regarding this change on 9 February 2016 which stated:
“As a member of Strathclyde Pension Fund or Scottish Teachers’ Superannuation Scheme, employees are currently ‘contracted out’ of the additional state pension and therefore receive a rebate on National Insurance contributions. This means that most employees contributing to either pension scheme currently pay a lower amount of National Insurance contributions.
From April 2016, under national changes to the scheme, employees will no longer receive this National Insurance rebate of 1.4% of pay between certain thresholds and will pay a higher amount of National Insurance contributions.
Finance colleagues in Payroll will be happy to assist with any queries you may have and the team can be contacted at Paisley Campus.”
More information about these changes can be found on UNISON Scotland’s dedicated pensions website at www.pensionsscotland.org/blog/the-new-state-pension-from-6-april-2016-and-members-ni-contributions